THE LEGAL STATUS OF DIGITAL BANKS IN INDONESIA

The bank digital concept is designed so the customer can independently do the transaction, make an online account, get online information, close the account, and so forth. Norm text wise, digital bank is not present in the positive law of banking in Indonesia. So, the problem is about the legal basis of digital banks in the country. The researchers discuss the problem by applying normative juridical method with statute and analytical approaches. The primary law sources are from the laws and regulations, the court’s transcript of proceedings, and the court decision. The secondary sources are previous research results and legal articles. The analysis technique of legal sources implements systematic interpretation. The results show that the legal basis for digital banks in Indonesia is implicitly written on Banking Law and POJK No. 12/ POJK.03/2021 concerning Commercial Banks. Digital banks must be an Indonesian legal entity bank and acquire a license from the OJK. Digital banks should be clearly differentiated with other Indonesian legal entities by applying a better and more complete regulation to give legal certainty, protect the customer’s personal data, and avoid data leakage. This article hopefully can be a reference for regulating digital banking in Indonesia.